The REAL Business Model To Make F**k You Money (In 2024)

Elon Musk Jeff basos and Mark Zuckerberg have something in common they all made their first hundred million with the same business model and what if I told you that that same business model is now accessible to anyone with a spare dollar the name SAS also known as software as a service so what is it and how can it make you rich software as a service is where you build a piece of software and you get people to pay to get access to that software Zoom is a great example where you pay to get access to the software they're currently worth $21 billion slack is another good example that's now worth $26 billion and Shopify which allows you to build online stores is worth $103 billion and although you've probably seen lots of these make money online gurus teaching people how to make money through e-commerce Drop Shipping social media management and many other business models they're actually secretly in the background building software businesses Iman godi for example teaches people how to run a marketing agency but he's actually focused on agency flow software for people who run their own agencies oven teaches people how to sell courses online he now sold that business and is focused on school a software business which helps people sell online courses in fact Alex heroi just invested in his business and Alex Becker teaches people how to run ad funnels but in parallel he just sold his company hyros for $110 million and yes it's a software business what makes a software business better than all the other business models well the first reason is profitability whereas Ecom stores might have a 20 to 30% margin in a software business you build the software once and then it operates at 70 to 85% profit number two is predictable Revenue when you get someone to start paying for the platform you can pretty much every single month know that x amount of money is going to drop in your bank account because it's a monthly recurring event the third reason is scalability since this software lives inside the browser you can pretty much scale to anywhere in the world very quickly and finally but probably most importantly these software companies sell for 7 to 10 times multipliers of their annual revenue so for example send grid and email SAS service sold for $3 billion to twilio GitHub a marketing software company sold to Microsoft for $7.5 billion and of course at this point you're probably saying why are you talking about billion dooll deals I'm just trying to make my first million dollars and that's exactly why right now I want to tell you about why it's the best time to start this kind of business you see 15 years ago when I built my first software business you had to raise money from investors hire an expensive programming team hire servers usually at to rent out an office and so it was really only possible to do for a small number of people but today there are three key technology advancements that allow anyone to build out their first product thems without a big team without having to raise a bunch of money it can scale as the business grows you can pretty much do it as you travel the world so what are these three technology advancements and how can you get started today the first one if you've been following this channel you probably know it it's no code tools these software tools that allow you to build apps websites with drag and drop interfaces which allow you to build your first software business test the market and even scale and this is how swap stack built their company and sold it to beehive it's also how David from teal was able to raise $1 million from investors and it's how Albert built his AI startup and raised $1.8 million now the second advancement is in automation today with platforms like zapier or make you can automate systems so that you don't have to do repetitive tasks meaning that you don't have to have 100 employees doing small tasks in your company anymore you can set up these automations and let them run in the background and the third one unless you've been living under a bridge is AI it can allow you to do things way quicker building software Marketing sales there are so many different use cases to speed up the process but here comes the bad news even with all of these amazing advancements in technology 90% of the apps and the App Store are zombie apps they have not been used in the past 30 days and most SAS businesses fail and that's because they don't reach product Market fit Founders build a product based on what they have in their mind they hit the market and realize there's a very different demand for that product and then they're rebuilding unbuilding it becomes a nightmare and they eventually run out of money so what should you be doing if you want to be in that top 10% Step One customer Discovery talk to customers about their problems not talking about your product at all and understand where they're having issues you might be able to solve maybe you're right about the product idea you have maybe you're not it's better to find out earlier than later step two build a brand and structure your offer so that people can start opting in we don't want to trust what people say we need them to take an action like give you their email address and if you're not able to get their email address imagine how difficult it's going to be to get them to pay for something so that's step three build a smoke test and test that you're able to get people to take actions you could make it a pre-sale you could get people to book a call with you and then step four set up tracking and analytics so you can see how people are interacting with your offer to be able to increase conversion step five is is to go out and sell your product before you've even built it the reason for that is because they are going to tell you the features that they're actually willing to pay for and frankly it's going to avoid you launching your product and hearing crickets step six is to build the minimum viable product leveraging no code tools step seven is going to be to deliver your product to the paying customer and receive the money and step eight is to get feedback from your customers and start improving your product so it delivers more and more value and no you do not have to scribble down these notes we have a free course in the description of this video that will bring you through the step by step I've just described but everything that I've just covered doesn't really matter unless you have an idea to take action on some kind of a software business that you can launch and that's the reason why I created this video which is going to give you five simple software businesses that you can launch with no code tools so feel free to check those out and so before you get distracted by a cat video or UFC real check out this video right here and I'll just hang out here waiting for you to watch this video my friend

Channel: WeAreNoCode - Learn No-Code!

Views: 14,646

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Id: xB_DeULHYgU

Length: 6min 2sec (362 seconds)

Published: Wed Feb 07 2024